DOJ's $62.4M Microsoft Engineering Support Contract for JCONEXT Platform Awarded to InfoReliance LLC

Contract Overview

Contract Amount: $62,359,057 ($62.4M)

Contractor: Inforeliance LLC

Awarding Agency: Department of Justice

Start Date: 2008-05-15

End Date: 2017-09-30

Contract Duration: 3,425 days

Daily Burn Rate: $18.2K/day

Competition Type: COMPETITIVE DELIVERY ORDER

Number of Offers Received: 2

Pricing Type: LABOR HOURS

Sector: IT

Official Description: THE CONTRACTOR SHALL PROVIDE MICROSOFT ENGINEERING SUPPORT SERVICES FOR THE DEPARTMENT OF JUSTICE'S JCONEXT PLATFORM.

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20530

State: District of Columbia Government Spending

Plain-Language Summary

Department of Justice obligated $62.4 million to INFORELIANCE LLC for work described as: THE CONTRACTOR SHALL PROVIDE MICROSOFT ENGINEERING SUPPORT SERVICES FOR THE DEPARTMENT OF JUSTICE'S JCONEXT PLATFORM. Key points: 1. Contract provides essential engineering support for a critical DOJ platform. 2. Long-term contract duration (over 9 years) suggests sustained need and potential for vendor lock-in. 3. Competitive award indicates potential for price discovery, though specific competition details are limited. 4. Focus on custom computer programming services aligns with specialized IT needs. 5. Geographic concentration in DC may indicate a focus on federal agency operations. 6. The contract's value is significant, requiring careful monitoring of performance and cost-effectiveness.

Value Assessment

Rating: good

The contract value of approximately $62.4 million over its nearly 10-year period represents a substantial investment in IT support. Benchmarking this against similar custom computer programming services contracts for large federal platforms is challenging without more granular data on the specific services provided and the complexity of the JCONEXT platform. However, the competitive nature of the award suggests that pricing was subject to some market forces. The duration implies a consistent need for these services, and the total value should be assessed against the ongoing operational requirements and benefits derived from the JCONEXT platform.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded as a competitive delivery order, indicating that it was competed under a broader contract vehicle that allowed for full and open competition. The presence of 'competitive' in the award type suggests multiple offerors likely vied for this specific delivery order. The number of bids received is not explicitly stated, but the competitive nature generally promotes price discovery and allows the government to select the offer that provides the best value.

Taxpayer Impact: A competitive award process helps ensure that taxpayer dollars are used efficiently by fostering a marketplace where contractors bid to offer the best price and performance. This approach aims to prevent overpayment and encourage innovation.

Public Impact

The Department of Justice benefits from continuous engineering support for its JCONEXT platform, ensuring its operational integrity and functionality. Federal employees within the DOJ likely utilize the JCONEXT platform, which is supported by these services. The primary geographic impact is within the District of Columbia, where the DOJ is headquartered. The contract supports specialized IT roles, potentially including software engineers, system administrators, and technical support staff.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Custom Computer Programming Services sector (NAICS 541511), a significant segment of the federal IT market. This sector encompasses businesses that write, test, and maintain computer code for clients. Federal spending in IT services, particularly for custom development and support of mission-critical platforms like JCONEXT, is substantial. Comparable contracts often involve long-term support agreements for complex software systems, with values ranging widely based on scope and duration. The market is characterized by both large prime contractors and specialized niche providers.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). InfoReliance LLC, the contractor, is not explicitly identified as a small business in the provided data. Therefore, this contract does not appear to directly benefit small businesses through a set-aside. However, as a prime contractor, InfoReliance may engage small businesses for subcontracting opportunities, though this is not detailed in the provided information. The absence of small business set-asides means larger, established firms likely dominated the bidding process.

Oversight & Accountability

Oversight for this contract would typically be managed by the Department of Justice's contracting officers and program managers responsible for the JCONEXT platform. Accountability measures would be embedded within the contract's terms and conditions, including performance standards and delivery schedules. Transparency is facilitated through contract databases like FPDS, where basic award information is publicly available. The Inspector General for the Department of Justice may have jurisdiction to investigate potential fraud, waste, or abuse related to this contract.

Related Government Programs

Risk Flags

Tags

it, department-of-justice, custom-computer-programming-services, competitive-delivery-order, large-contract, district-of-columbia, software-engineering, long-term-contract, information-technology

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $62.4 million to INFORELIANCE LLC. THE CONTRACTOR SHALL PROVIDE MICROSOFT ENGINEERING SUPPORT SERVICES FOR THE DEPARTMENT OF JUSTICE'S JCONEXT PLATFORM.

Who is the contractor on this award?

The obligated recipient is INFORELIANCE LLC.

Which agency awarded this contract?

Awarding agency: Department of Justice (Offices, Boards and Divisions).

What is the total obligated amount?

The obligated amount is $62.4 million.

What is the period of performance?

Start: 2008-05-15. End: 2017-09-30.

What is the specific nature and complexity of the JCONEXT platform that necessitates such long-term, high-value engineering support?

The provided data does not detail the specific functionalities or complexity of the JCONEXT platform. However, its use by the Department of Justice suggests it is likely a mission-critical system, potentially related to case management, investigations, intelligence analysis, or internal operations. Platforms requiring continuous engineering support often involve intricate databases, user interfaces, security protocols, and integration with other government systems. The long duration and significant value of the contract imply that JCONEXT is a substantial and enduring component of the DOJ's technological infrastructure, requiring ongoing maintenance, upgrades, and potentially new feature development to adapt to evolving legal and operational requirements.

How does InfoReliance LLC's past performance on similar federal contracts inform the assessment of this contract's risk?

The provided data indicates that InfoReliance LLC was the contractor and that the contract was awarded competitively. While the data doesn't offer specific details on InfoReliance's past performance metrics (e.g., quality of work, timeliness, cost control), the fact that they were awarded this significant, long-term contract suggests they likely met the government's criteria for technical capability and past performance. Federal agencies typically conduct thorough past performance reviews during competitive procurements. A deeper dive into InfoReliance's contract history within FPDS or other databases would be necessary to fully assess their track record, identify any potential red flags (e.g., past disputes, performance issues), or confirm consistent delivery of high-quality services.

Can the value of this contract be benchmarked against similar IT support services for federal agencies?

Benchmarking this $62.4 million contract requires comparing it to similar IT engineering support services for federal platforms of comparable scale and complexity. The NAICS code 541511 (Custom Computer Programming Services) provides a broad category. However, the specific nature of the JCONEXT platform and the exact services rendered (e.g., maintenance, development, cybersecurity) are crucial for accurate comparison. Without more granular data on the scope of work, service level agreements, and the specific technologies involved, direct benchmarking is difficult. Generally, long-term, comprehensive support contracts for critical government systems can range from tens to hundreds of millions of dollars over their lifespan, depending heavily on the system's criticality, user base, and technological evolution.

What are the potential risks associated with a single contractor providing support for over nine years?

A significant risk associated with a single contractor providing support for over nine years is vendor lock-in, where the government becomes heavily reliant on the incumbent's specific knowledge and processes, making it difficult and costly to switch providers. This extended period can also reduce the contractor's incentive to innovate or offer the most cost-effective solutions, as competition may be limited in subsequent procurements. Furthermore, the contractor's institutional knowledge might decline if key personnel leave, and the government could face challenges if the contractor experiences financial instability or strategic shifts. Ensuring robust contract management, clear performance metrics, and periodic market research is crucial to mitigate these risks.

How does the 'competitive delivery order' award type impact price discovery and value for taxpayers?

A 'competitive delivery order' implies that this specific order was competed among multiple potential contractors, likely under a pre-existing Indefinite Delivery/Indefinite Quantity (IDIQ) contract or similar vehicle that allowed for full and open competition. This competitive process is beneficial for taxpayers as it allows the government to solicit bids and select the offer that provides the best value, often balancing price and technical merit. It fosters price discovery by exposing the government's needs to the market, encouraging contractors to submit competitive pricing to win the award. Compared to a sole-source award, a competitive process generally leads to lower prices and better service terms, maximizing the efficient use of taxpayer funds.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesComputer Systems Design and Related ServicesCustom Computer Programming Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONSADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: COMPETITIVE DELIVERY ORDER

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: DJJR-RFQ-0509

Offers Received: 2

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 4050 LEGATO RD STE 700, FAIRFAX, VA, 22033

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $62,359,057

Exercised Options: $62,359,057

Current Obligation: $62,359,057

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: GS35F0273L

IDV Type: FSS

Timeline

Start Date: 2008-05-15

Current End Date: 2017-09-30

Potential End Date: 2017-09-30 00:00:00

Last Modified: 2017-09-20

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